Systems and methods for gift card linking

ABSTRACT

Systems and methods for gift card linking are disclosed. According to one embodiment, a method for processing a payment using a linked stored value instrument may include (1) receiving, from a merchant, a payment request for a transaction, the payment request comprising an identification of a transaction amount and a transaction account; (2) at least one computer processor retrieving a stored value instrument for the merchant that is associated with the transaction account; and (3) the at least one computer processor causing the stored value instrument to be debited for a first portion of the transaction amount.

RELATED APPLICATIONS

This application claims the benefit of U.S. Provisional PatentApplication Ser. No. 61/903,135 filed Nov. 12, 2013, the disclosure ofwhich is incorporated, by reference, in its entirety.

BACKGROUND OF THE INVENTION 1. Field of the Invention

The present invention generally relates to gift cards, and, moreparticularly, to systems and methods for gift card linking.

2. Description of the Related Art

Gift cards are very popular, and are often among the most requested typeof gift. Gift cards provide advantages for everyone involved in thegift-giving process. For example, the gift card giver does not have tospend time determining the gift that the gift receiver wants, needs, orhas, but can instead give a gift card to one of the gift receiver'spreferred merchants. The gift card receiver can select what he or shewants, and does not have to worry about returns or exchanges. Themerchants often see an increase in sales, as the gift card receiversoften spend more than the amount of the gift card.

SUMMARY OF THE INVENTION

Systems and methods for gift card linking are disclosed. In oneembodiment, a method for linking a stored value instrument to at leastone transaction account may include (1) receiving an identifier for astored value instrument; (2) receiving an identifier for a transactionaccount; (3) at least one computer processor associating the storedvalue instrument with the transaction account identifier; and (4)storing the association in at least one database.

The method may further include receiving at least one preferenceassociated with the use of the stored value instrument.

In one embodiment, the stored value instrument may be a gift card, agift certificate, etc. In one embodiment, the stored value instrumentmay be associated with a merchant.

In one embodiment, the transaction account may be a credit card account,a checking account, etc.

In one embodiment, identifiers for a plurality of transaction accountmay be received, and the at least one computer processor may associatethe stored value instrument with the plurality of transaction accountidentifiers.

In another embodiment, a method for processing a payment using a linkedstored value instrument may include (1) receiving, from a merchant, apayment request for a transaction, the payment request comprising anidentification of a transaction amount and a transaction account; (2) atleast one computer processor retrieving a stored value instrument forthe merchant that is associated with the transaction account; and (3)the at least one computer processor causing the stored value instrumentto be debited for a first portion of the transaction amount.

The method may further include the at least one computer processorrequesting an available balance for the stored value instrument beforecausing the stored value instrument to be debited.

In one embodiment, the first portion of the transaction amount may bethe available balance for the stored value instrument.

In another embodiment, the first portion of the transaction amount maybe less than the transaction amount, and the method may further includethe at least one computer processor charging a difference between thetransaction amount and the first portion of the transaction amount tothe transaction account.

In one embodiment, the method may further include the at least onecomputer processor retrieving a second stored value instrument for themerchant that is associated with the transaction account; and the atleast one computer processor causing the second stored value instrumentfor a second portion of the transaction amount to be debited.

In one embodiment, the stored value instrument may be a gift card, agift certificate, etc. In one embodiment, the stored value instrumentmay be associated with a merchant.

In one embodiment, the transaction account may be a credit card account,a checking account, etc.

According to another embodiment, a method for processing a payment usinga linked gift card may include (1) receiving, at a merchant and from acustomer, a transaction account identifier and a transaction to beconducted; (2) receiving, at the transaction account issuer and from themerchant, a payment request for a transaction, the payment requestcomprising an identification of a transaction amount and the transactionaccount identifier; (3) at least one computer processor at thetransaction account issuer retrieving a stored value instrument for themerchant that is associated with the transaction account; (4) the atleast one computer processor requesting an available balance for thestored value instrument from the merchant; (5) the at least one computerprocessor causing the stored value instrument to be debited for a firstportion of the transaction amount; and (6) the at least one computerprocessor causing the transaction account to be charged for anydifference between the transaction amount and the first portion of thetransaction amount.

In one embodiment, the method may further include the at least onecomputer processor causing the available balance to be provided to thecustomer; and the at least one computer processor receiving approval touse the stored value instrument to pay for the first portion of thetransaction amount.

In one embodiment, the merchant may receive the transaction accountidentifier at a point of sale device. In another embodiment, themerchant may receive the transaction account identifier through awebsite.

In one embodiment, the stored value instrument may be a gift card, agift certificate, etc. In one embodiment, the stored value instrumentmay be associated with a merchant.

In one embodiment, the transaction account may be a credit card account,a checking account, etc.

BRIEF DESCRIPTION OF THE DRAWINGS

For a more complete understanding of the present invention, the objectsand advantages thereof, reference is now made to the followingdescriptions taken in connection with the accompanying drawings inwhich:

FIG. 1 is a block diagram of a system for gift card linking according toone embodiment;

FIG. 2 depicts an method for gift card linking according to oneembodiment;

FIG. 3 depicts a method for using a linked gift card according to oneembodiment;

FIG. 4 depicts a method for gift card linking according to oneembodiment;

FIG. 5 depicts a method of tracking gift card balances according to oneembodiment;

FIG. 6 depicts a method for redeeming or exchanging registered giftcards according to one embodiment; and

FIG. 7 depicts a method for combined reconciliation according to oneembodiment.

DETAILED DESCRIPTION OF PREFERRED EMBODIMENTS

Several embodiments of the present invention and their advantages may beunderstood by referring to FIGS. 1-7, wherein like reference numeralsrefer to like elements.

Systems and methods for a gift card linking are disclosed. In general,“gift card linking” describes a process of linking one or more merchantgift cards to a financial account, such as a credit card account, adebit card account, a checking account, etc. These linked gift cards canbe used at the time of purchase, either in person (e.g., at a point ofsale device, ATM, etc.) or on-line, to reduce the amount of money acustomer will borrow from a credit card. In one embodiment, the processof linking the gift card to the financial account does not invalidate or“zero balance” the original gift card, and the linked gift card maystill be used separately. In another embodiment, once linked, thephysical gift card may be prevented from being used in a non-linkedfashion.

In one embodiment, once the gift card is registered, the customer and/orthe merchant may decide whether to use the gift card funds for all orpart of the transaction.

In one embodiment, after it is linked, the customer will not need tohave the linked gift card present to conduct the transaction.

In one embodiment, a gift card may be linked to more than one account.For example, if the user has more than one account with financialinstitution X, the user may select to link the gift card to allaccounts, or to a subset of those accounts.

In another embodiment, a gift card may be linked to an account alias,such as a phone number, a device identifier, a token identifier, aserial number, an email address, a biometric, etc.

In one embodiment, the user may be notified of gift card balances formerchants in the user's vicinity. For example, as a user approaches amerchant with whom the user has a linked gift card, system may notifythe user that he or she is near the merchant, and the gift card balancethat the user has with the merchant. In one embodiment, the user mayalso be provided with marketing information for the user (e.g., offers,sales, specials, discounts, etc.). In one embodiment, the user maycustomize the notifications (e.g., the frequency, balance thresholds,merchants, etc.) as necessary and/or desired.

In one embodiment, the merchant may identify the location of the user.In another embodiment, the device may identify merchants with which theuser has registered gift cards that are in his or her vicinity.

In one embodiment, a computer application may be provided for managinggift cards and linking the gift cards to the desired account(s). Theapplication may be a mobile application, a computer program, a webapplication, a website, etc. In one embodiment, a user may add or deletea gift card using the application, and the application may retrieve thegift card balance and provide it to the user. In one embodiment, theuser may add the gift card by entering the gift card number, scanning amachine readable code, taking an image of the gift card, etc. In oneembodiment, for security, the user may need to enter a gift cardsecurity code as well.

In one embodiment, a user may also reload a gift card using, forexample, the financial account to which the gift card is linked. In oneembodiment, the gift card may be reloaded periodically (e.g., $10 addedevery month), on the occurrence of an event (e.g., the balance fallsbelow a certain amount), etc.

In one embodiment, the gift card data may be stored with the credit cardissuer, not with the application. Thus, this provides an additionallevel of security against the loss or theft of a physical gift card. Inone embodiment, once registered, the physical gift card may be preventedfrom being used in a non-linked manner.

In one embodiment, the application may provide the user with a gift cardmarketplace. For example, the user may buy gift cards from merchants,and may have those gift cards electronically added and/or linked to thedesired account(s).

In one embodiment, the user may also use the gift card marketplace tobuy, sell, or trade gift cards with third parties, such as individuals.For example, if a user does not want a gift card for Merchant A, he orshe may offer to sell it for a certain amount.

In one embodiment, the total gift card value for more than one gift cardmay be more easily accessed and used. For example, two $25 gift cardsfor the same merchant may be combined for a $50 credit.

Although the term “gift card” is used throughout this disclosure, itshould be recognized that this encompasses all stored value instruments,including merchant gift cards, network gift cards, gift certificates,e-gift cards, etc.

Referring to FIG. 1, an exemplary system for gift card linking isprovided. System 100 may include computer 110, which may be a desktopcomputer, laptop computer, notebook computer, tablet computer, etc.;mobile device 120, which may be a smart phone, e-reading device, etc.,kiosk 130; server 150; merchant 160; merchant gift card processor 170;financial institution 180; and database 190.

In one embodiment, any or all of computer 110, mobile device 120, kiosk130, server 150, merchant 160, merchant gift card processor 170,financial institution 180, and database 190 may communicate using anysuitable communication method or network, including the Internet,intranets, virtual private networks, cellular networks, virtual privatenetworks, plain old telephone systems, wireless networks, etc. Inaddition, some or all of merchant 160, merchant gift card processor 170,and financial institution 180 may communicate directly.

In one embodiment, a customer may register his or her gift cards usingany of computer 110, mobile device 120, kiosk or ATM 130, by telephone,etc. The customer may specify one or more account that the customer haswith financial institution 180 to which the gift card is to be linked.

The customer may initiate a purchase with merchant 160 in person atmerchant 160, at kiosk 130, or on-line using computer 110 or mobiledevice 120. The customer may present a linked account for payment.During the authorization process, server 150, which may be part offinancial institution 180's payment authorization system, may check tosee if the customer has any linked gift cards with merchant 160.

In one embodiment, if there is a linked gift card, financial institution180 or server 150 may check with merchant 160 and/or gift card processor170 for the balance of the gift card. Based on the gift card balance,financial institution 180 may deduct the gift card balance from thetransaction.

In one embodiment, financial institution 180 may present messages to thecustomer, such as gift card balance, requests to confirm the use of thegift card, any promotions involving the presented account that would bemissed by using the gift card, etc. via a point of sale station atmerchant 160, on computer 110, mobile device 120 or on kiosk 120. In oneembodiment, the messages may be provided via a separate communicationchannel (e.g., by SMS, email, etc.) to a registered device.

In one embodiment, server 150 may monitor a location of mobile device120 in order to determine if mobile device 120 is near merchant 160. Inone embodiment, mobile device 120 may periodically be requested toprovide server 150 with GPS location data. In another embodiment,merchant 160 may detect the presence of mobile device 120 when it is inthe vicinity of merchant 160 for proximity marketing. In one embodiment,NFC, Bluetooth Low Energy (LBE), Bluetooth, or similar technology may beused to detect the presence of mobile device 120.

In another embodiment, mobile device 120 and/or an application executedby mobile device 120 may monitor its location and alert the user when itis in the vicinity of any merchants with registered gift cards.

Referring to FIG. 2, an exemplary process flow for gift card linkingaccording to one embodiment is provided. In step 205, user may registergift card that he or she wishes to be linked to at least one account. Inone embodiment, the user may capture an image of the gift card (e.g., aphoto of the card including card number or other identifyinginformation), scan a machine readable code on the gift card, swipe (ordip) the magnetic stripe of the gift card, wirelessly capture the giftcard information from a RF-enabled gift card (e.g., “tap” the gift cardto a reading device), enter the card number, etc. Any suitable methodfor identifying the gift card may be used as necessary and/or desired.

In one embodiment, the user may enter gift card information on a mobileapplication executed by a mobile device, on a website, at a branch, at akiosk, at an ATM, etc. Any suitable mechanism for receiving the giftcard identification may be used as necessary and/or desired.

In one embodiment, the user may register a gift card at a point of sale(POS) device. For example, the user may swipe a gift card and be givenan option to link the gift card to his or her account(s) for the currenttransaction or a future transaction.

The information for any suitable gift card, or stored value card,received. For example, in one embodiment, information for gift cards fora specific merchants may be received. In another embodiment, informationfor pre-paid network gift cards (e.g., Visa gift cards, American Expressgift cards, etc.) may be received. In another embodiment, informationfor gift certificates for specific merchants may be received. Forexample, if a paper gift certificate is used, the information may bemanually entered, scanned, entered by taking a photograph of the giftcertificate, etc. In another embodiment, the issuing merchant may link apaper gift certificate to an account upon surrender of the paper giftcertificate.

Next, in step 210, the user may identify at least one account oridentifier with which to link the gift card. In general, the user maylink the gift cards to any account, device, or identifier that may beused to conduct a transaction. For example, the user may identify one ormore credit card accounts, checking accounts, debit card accounts,private label accounts, etc. with which to link the gift cards.

In one embodiment, the account may be an online account, such as anon-line gaming account. Examples include the Sony PlayStation Network,Xbox Live, etc.

In one embodiment, the user may link the gift card to more than oneaccount. For example, if a user has three credit cards and one debitcard, the user may link the gift cards to all four accounts.

Similarly, the user may also link the gift cards to an account aliasthat may be used in place of an account number, such as a phone number,email address, etc. The user may also link the gift cards to a token,transponder, etc. In another embodiment, the act of linking the giftcard to the account may also link the gift card to the account alias.

In one embodiment, the gift cards may be linked before a transaction, ormay be registered after a transaction. In one embodiment, the user maybe required to link the gift card within a certain period following thetransaction. For example, the user may be required to link the card bythe end of the day of the transaction, by the end of the billing cycle,within a set time (e.g., within two business days of the transaction),etc.

In one embodiment, the gift cards may be registered or linked to abiometric for the user. For example, the user may provide a biometric(e.g., fingerprint, retina scan, voice, image (e.g., face), behavior,etc. that may be used to access the gift card account and/orauthenticate the user.

In step 215, the user may enter preferences for using the linked giftcard. For example, the user may enter preferences as to whether to beasked to use the credit card balance before it is used, what to do whenthe linked account has certain promotions, whether to receive merchantupdates, whether to receive balance alerts, reductions based on giftcard non-use, warnings before a gift card expires, etc.

In one embodiment, the user may specify different behaviors forin-person and on-line transactions.

For example, if the gift card is linked to a credit card, and the creditcard has a 5% savings if the credit card is used, the user may wish tosave the gift card value for the next, non-promotional purchase. Theuser may request to be asked whether to use the gift card, or maydefault to non-use of the gift card. In one embodiment, the user may bepresented with the savings associated with using the linked accountinstead of the gift card.

Any suitable preference may be provided as necessary and/or desired.

Referring to FIG. 3, a method for using a linked gift card according toone embodiment is provided.

In order to conduct a transaction, in step 305, the user may enteraccount information to pay for a transaction with a merchant. In oneembodiment, the user may swipe/dip a credit, debit, or private labelcard; enter a card number for an online transaction; enter an alias; tapa card or RFID token, etc.

In step 310, the merchant may contact the financial institution for theaccount with the transaction information. In one embodiment, this may bethe financial instrument that issued the credit or debit card, thefinancial institution that hosts the private label account, the bankthat holds the checking account, etc.

In step 315, the financial institution's payment processing system maydetermine whether the user has a linked gift card with the merchant. Inone embodiment, the financial institution's payment processing systemmay check registration data to determine if the user has a linked giftcard with the merchant. In one embodiment, the financial institution'spayment processing system may retrieve the user's preferences.

If the user does have a linked gift card, in step 320, the financialinstitution's payment processing system may contact the merchant's giftcard processing system to make a balance inquiry. In step 325, themerchant's gift card processing system may then return a gift cardbalance to the payment processing system.

In step 330, the financial institution's payment processing system mayinform the user, through the point of sale device, mobile application,website, SMS, etc. of the balance, and may ask the user whether or notto use the gift card balance. This may be based on the user'spreferences. If, in one embodiment, the user has set a preference to usethe gift card balance automatically, the user may not be asked.

In one embodiment, the user may be alerted of any potential savingsassociated with using the presented account instead of using the giftcard balance. For example, if the user presents a credit card that has a5% rebate promotion, the user may be informed of this promotion, theamount of savings, etc. and requested to confirm the use of the giftcard or the presented account.

In step 335, if the user wants to apply the gift card balance, or if theuser has set a preference to default to the gift card, in step 340, thefinancial institutions' payment processing system may requestauthorization from the gift card processing system for the transaction.

In step 345, any balance that remains may be charged to the account thatwas initially presented for payment.

In step 350, if there is not a linked gift card for the merchant, or ifthe user does not want to use the gift card balance to pay for thetransaction, the transaction may be conducted with the linked account.

In one embodiment, the application of the gift card balance may takeplace substantially in real time at the time of the transaction.

In another embodiment, the application of the gift card balance mayoccur after the transaction has occurred. In addition, the paymentprocessing system may process the gift card transactions individually,in batches, etc. Referring to FIG. 4, an exemplary process flow for giftcard linking according to another embodiment is provided.

In step 405, the user may enter account information to pay for atransaction with a merchant. This may be similar to step 305, above.

In step 410, the user may conduct the transaction with the identifiedaccount.

In step 415, the user may access an application to identify atransaction to apply a gift card balance to. In one embodiment, theapplication may be a mobile application, a software program, a website,etc. In one embodiment, the application may provide access to thetransactions conducted with the account.

In step 420, the financial institution may identify a merchantassociated with the identified transaction.

In step 425, the financial institution's payment processing system maydetermine whether the user has a linked gift card with the merchant.This may be similar to step 315, above. If the user does, in step 430,the financial institution's payment processing system may contact themerchant's gift card processing system to make a balance inquiry. Instep 435, the merchant's gift card processing system may then return agift card balance to the payment processing system.

If the user does not have a linked gift card with the merchant, in step460, the transaction remains with the account.

In step 440, the financial institution's payment processing system mayinform the user, through the application, website, SMS, etc. of thebalance, and may ask the user whether or not to use the gift cardbalance. This may be based on the user's preferences.

In step 445, if the user wants to apply the gift card balance, in step450, the financial institutions' payment processing system may requestauthorization from the gift card processing system for the transaction.

If the user does not have a linked gift card with the merchant, in step460, the transaction remains with the account.

In step 455, the user's account is credited the amount of the gift cardbalance that was used. Any remaining balance will remain on the account.

Referring to FIG. 5, a method of tracking gift card balances accordingto one embodiment is provided. In step 505, the user may register one ormore gift cards, gift certificates, etc. as discussed above.

In step 510, the system may periodically update the data for theregistered gift card(s). In one embodiment, this may be conducted on adaily basis, hourly basis, or any suitable basis. In one embodiment, theuser may manually request that the data be updated.

In one embodiment, to update the gift card data, the system may contactthe merchant's gift card processing system to retrieve, for example, thecurrent gift card balance, expiration date, upcoming maintenance fees,etc.

In step 515, the system determine if there are any registered gift cardsthat are within a predetermined period of expiring, being assessed amaintenance fee, etc. The predetermined period for expiring may be set,for example, as a user preference.

If there are, in step 520, the system may alert the user. In oneembodiment, the alert may be provided by SMS, email, push notificationon a mobile device, etc. In one embodiment, a mobile application mayprovide the notification.

In step 525, the system may monitor a location of a mobile electronicdevice that may be registered to the user. For example, the GPS locationof the user's registered mobile electronic device may be periodicallyreceived by the system. In another embodiment, the location of the usermay be determined from social media, text analytics of messages sentand/or received by the user, etc. In still another embodiment, thelocation of the user may be determined from the user's calendar entriesand associated locations.

In step 530, the system may determine whether the monitored location iswithin a predetermined distance of a merchant with which the user has aregistered gift card. In one embodiment, the predetermined distance maybe set by the user as a preference. In another embodiment, thepredetermined distance may be within the same shopping center/facilityas the monitored location.

If the monitored location is within a predetermined distance of themerchant, in step 535, the system may alert the user. In one embodiment,the alert may be provided by SMS, email, push notification on a mobiledevice, etc. In one embodiment, a mobile application may provide thenotification.

In one embodiment, the user may set preferences to only be alerted witha merchant with a registered gift card has a sale, promotion, etc. Anysuitable user preferences may be used as necessary and/or desired.

The disclosures of U.S. patent application Ser. No. 13/540,784; U.S.patent application Ser. No. 12/907,109; U.S. patent application Ser. No.12/907,115; U.S. patent application Ser. No. 13/616,625; and U.S. patentapplication Ser. No. 13/027,624 are hereby incorporated by reference intheir entireties.

In one embodiment, the user may trade or exchange registered gift cards.For example, in one embodiment, a financial institution may redeemregistered gift cards for statement credits, for gift cards with othermerchants, etc. In one embodiment, the credit card issuer may charge thecustomer a fee, which may result in the reduction in the value of thegift card. For example a user may be charged a 10% fee to redeem a giftcard for a statement credit, to exchange a gift card, etc.

In one embodiment, the user may be required to destroy the plastic giftcard as part of the redemption/exchange. In one embodiment, the user mayprovide proof of such destruction, such as a picture of the plastic giftcard cut in half

In another embodiment, the user may be required to provide the plasticgift card before the statement credit or exchange may be completed. Forexample, the user may be required to mail the gift card, drop the giftcard to a branch location, etc.

In still another embodiment, if the gift card is surrendered to afinancial institution, the merchant may zero the gift card and issue agift card for the same amount (or an amount minus a fee) to thefinancial institution.

In another embodiment, the user may agree not to use the gift cardnumber in the future, not to transfer the gift card to another person,etc. The user may agree to certain penalties associated with anyunauthorized use that can be linked to the seller, etc.

Referring to FIG. 6, a method for redeeming or exchanging registeredgift cards is provided. In step 605, the user may register a gift cardas discussed above. In another embodiment, the user may not be requiredto register the gift card, but may instead provide gift card informationsuch as the merchant/issuer, amount, expiration, etc.

In step 610, the user may select to redeem the gift card for a statementcredit or exchange the gift card for one with a different merchant. Ifthe user selects this option, in step 615, the system may contact thegift card merchant's payment processing system to determine the balanceremaining on the gift card. In step 620, the user may be presented withthe gift card amount, and any associated fees for redeeming the giftcard.

If the user is exchanging the gift card for one with a differentmerchant, the user may select a gift card for the exchange.

If, in step 625, the user accepts the balance and fee, in step 630, theuser may be instructed to destroy the plastic gift card, return theplastic gift card, or otherwise indicate that the user will no longerattempt to use the plastic gift card.

Once the plastic gift card is returned, destroyed, or otherwise agreednot to be used, in step 635, the user may receive a statement balance orthe exchange.

In one embodiment, as part of its agreements with merchants to providecredit card services, a credit card issue may apply the value of cardsthat it acquires through redemption, exchange, etc.

The credit card issuer may apply the value of the cards that it hasacquired in settlement with the merchant for other credit cardtransactions, private label transactions, or any other relationship thatmay exist between the merchant and the credit card issuer. An example ofcombined reconciliation is disclosed in U.S. Pat. No. 7,953,653, thedisclosure of which is hereby incorporated, by reference, in itsentirety.

In one embodiment, the credit card issuer may enter into directrelationships with the merchants. In one embodiment, the merchant mayprovide the credit card issuer access to its gift card processingsystem, which may be a closed loop system.

In one embodiment, the credit card issuer may permit a cardholder toregister gift cards for statement credits, to exchange gift cards for afirst merchant for a gift card with a second merchant, etc. In oneembodiment, the credit card issuer may charge the customer a fee, whichmay result in the reduction in the value of the gift card. The creditcard issuer may apply the value of the cards that it has acquired insettlement with the merchant for other credit card transactions, privatelabel transactions, or any other relationship that may exist between themerchant and the credit card issuer. An example of combinedreconciliation is disclosed in U.S. Pat. No. 7,953,653, the disclosureof which is hereby incorporated, by reference, in its entirety.

Referring to FIG. 7, an example of combined reconciliation according toone embodiment is provided. In step 710, a credit card issuer and amerchant may enter into an agreement for combined reconciliation ofcredit card changes and gift cards. In one embodiment, the agreement mayinclude terms and conditions for fees, discounts, incentives, etc.

In step 720, the credit card issuer may redeem merchant gift cards fromusers for statement credits, in exchange for gift cards for othermerchants, etc.

In step 730, periodically or as otherwise desired, the credit cardissuer may determine an amount that is due to be paid to the merchantfor purchases using its credit cards, and an amount of gift cards thatit has received through redemptions and/or exchanges.

In step 740, the credit card issuer may credit itself the amount of thecollective balance of the redeemed/exchanged gift cards. In oneembodiment, the amount of the credit may be adjusted based on theagreed-upon terms and conditions. In one embodiment, the gift cardbalance may be reduced. In another embodiment, the gift card balance maybe increased.

In step 750, the credit card issuer may settle the credit card balancewith the merchant, and may provide a report of the gift card balance.

The following disclosures are related to the present invention and arehereby incorporated, by reference, in their entireties: U.S. Pat. No.6,985,873 entitled “System And Method For Administrating A BrokerageRebate Card Program”; U.S. patent application Ser. No. 10/284,394,entitled “System And Method For Establishing Or Modifying An AccountWith User Selectable Terms”; U.S. patent application Ser. No.10/683,294, entitled “System And Method For Granting Promotional RewardsTo Credit Account Holders”; U.S. patent application Ser. No. 11/202,325,entitled “Rewards Program System And Method”; U.S. patent applicationSer. No. 11/221,706, entitled “Terminal For Implementing SimultaneousReward Programs”; U.S. patent application Ser. No. 11/447,031, entitled“System And Method For Presenting Loyalty Offers at a Point-of-Sale”;U.S. patent application Ser. No. 11/634,159, entitled “System And MethodFor Offering Rewards Programs”; U.S. patent application Ser. No.11/686,203, entitled “System And Method For Dynamically Identifying,Prioritizing And Offering Reward Categories”; U.S. patent applicationSer. No. 11/557,758, entitled “System And Method For Establishing OrModifying An Account With User Selectable Terms”; U.S. patentapplication Ser. No. 11/488,783, entitled “System And Method ForGranting Promotional Rewards To Credit Account Holders”; U.S. patentapplication Ser. No. 11/749,213, entitled “System And Method ForCombined Reconciliation Of Co-Branded Card Promotion And Settlement OfPrivate Label Card Accounts”; U.S. patent application Ser. No.12/017,938, entitled “System And Method For Offering Products AndServices Via Reward Programs”; U.S. patent application Ser. No.12/043,760, entitled “System And Method For Granting Promotional RewardsTo Financial Account Holders”; U.S. patent application Ser. No.12/350,015, entitled “System And Method For Processing TransactionsUsing A Multi-Account Transaction Device”; U.S. patent application Ser.No. 10/665,250, entitled “System and Method For ProcessingTransactions”; U.S. patent application Ser. No. 11/185,847, entitled“Personalized Bank Teller Machine”; U.S. patent application Ser. No.12/907,109, entitled “System and Method for Earning and RedeemingPoints”, U.S. patent application Ser. No. 13/803,298, entitled “Systemand Method for Instant Credit Using a Mobile Device”, and U.S. patentapplication Ser. No. 11/968,036, entitled “System and Method forApplying Benefits to Transactions.”

Hereinafter, general aspects of implementation of the systems andmethods of the invention will be described.

The system of the invention or portions of the system of the inventionmay be in the form of a “processing machine,” such as a general purposecomputer, for example. As used herein, the term “processing machine” isto be understood to include at least one processor that uses at leastone memory. The memory stores a set of instructions. The instructionsmay be either permanently or temporarily stored in the memory ormemories of the processing machine. The processor executes theinstructions that are stored in the memory or memories in order toprocess data. The set of instructions may include various instructionsthat perform a particular task or tasks, such as those tasks describedabove. Such a set of instructions for performing a particular task maybe characterized as a program, software program, or simply software.

As noted above, the processing machine executes the instructions thatare stored in the memory or memories to process data. This processing ofdata may be in response to commands by a user or users of the processingmachine, in response to previous processing, in response to a request byanother processing machine and/or any other input, for example.

As noted above, the processing machine used to implement the inventionmay be a general purpose computer. However, the processing machinedescribed above may also utilize any of a wide variety of othertechnologies including a special purpose computer, a computer systemincluding, for example, a microcomputer, mini-computer or mainframe, aprogrammed microprocessor, a micro-controller, a peripheral integratedcircuit element, a CSIC (Customer Specific Integrated Circuit) or ASIC(Application Specific Integrated Circuit) or other integrated circuit, alogic circuit, a digital signal processor, a programmable logic devicesuch as a FPGA, PLD, PLA or PAL, or any other device or arrangement ofdevices that is capable of implementing the steps of the processes ofthe invention.

The processing machine used to implement the invention may utilize asuitable operating system. Thus, embodiments of the invention mayinclude a processing machine running the iOS operating system, the OS Xoperating system, the Android operating system, the Microsoft Windows™ 8operating system, Microsoft Windows™ 7 operating system, the MicrosoftWindows™ Vista™ operating system, the Microsoft Windows™ XP™ operatingsystem, the Microsoft Windows™ NT™ operating system, the Windows™ 2000operating system, the Unix operating system, the Linux operating system,the Xenix operating system, the IBM AIX™ operating system, theHewlett-Packard UX™ operating system, the Novell Netware™ operatingsystem, the Sun Microsystems Solaris™ operating system, the OS/2™operating system, the BeOS™ operating system, the Macintosh operatingsystem, the Apache operating system, an OpenStep™ operating system oranother operating system or platform.

It is appreciated that in order to practice the method of the inventionas described above, it is not necessary that the processors and/or thememories of the processing machine be physically located in the samegeographical place. That is, each of the processors and the memoriesused by the processing machine may be located in geographically distinctlocations and connected so as to communicate in any suitable manner.Additionally, it is appreciated that each of the processor and/or thememory may be composed of different physical pieces of equipment.Accordingly, it is not necessary that the processor be one single pieceof equipment in one location and that the memory be another single pieceof equipment in another location. That is, it is contemplated that theprocessor may be two pieces of equipment in two different physicallocations. The two distinct pieces of equipment may be connected in anysuitable manner. Additionally, the memory may include two or moreportions of memory in two or more physical locations.

To explain further, processing, as described above, is performed byvarious components and various memories. However, it is appreciated thatthe processing performed by two distinct components as described abovemay, in accordance with a further embodiment of the invention, beperformed by a single component. Further, the processing performed byone distinct component as described above may be performed by twodistinct components. In a similar manner, the memory storage performedby two distinct memory portions as described above may, in accordancewith a further embodiment of the invention, be performed by a singlememory portion. Further, the memory storage performed by one distinctmemory portion as described above may be performed by two memoryportions.

Further, various technologies may be used to provide communicationbetween the various processors and/or memories, as well as to allow theprocessors and/or the memories of the invention to communicate with anyother entity; i.e., so as to obtain further instructions or to accessand use remote memory stores, for example. Such technologies used toprovide such communication might include a network, the Internet,Intranet, Extranet, LAN, an Ethernet, wireless communication via celltower or satellite, or any client server system that providescommunication, for example. Such communications technologies may use anysuitable protocol such as TCP/IP, UDP, or OSI, for example.

As described above, a set of instructions may be used in the processingof the invention. The set of instructions may be in the form of aprogram or software. The software may be in the form of system softwareor application software, for example. The software might also be in theform of a collection of separate programs, a program module within alarger program, or a portion of a program module, for example. Thesoftware used might also include modular programming in the form ofobject oriented programming. The software tells the processing machinewhat to do with the data being processed.

Further, it is appreciated that the instructions or set of instructionsused in the implementation and operation of the invention may be in asuitable form such that the processing machine may read theinstructions. For example, the instructions that form a program may bein the form of a suitable programming language, which is converted tomachine language or object code to allow the processor or processors toread the instructions. That is, written lines of programming code orsource code, in a particular programming language, are converted tomachine language using a compiler, assembler or interpreter. The machinelanguage is binary coded machine instructions that are specific to aparticular type of processing machine, i.e., to a particular type ofcomputer, for example. The computer understands the machine language.

Any suitable programming language may be used in accordance with thevarious embodiments of the invention. Illustratively, the programminglanguage used may include assembly language, Ada, APL, Basic, C, C++,COBOL, dBase, Forth, Fortran, Java, Modula-2, Pascal, Prolog, REXX,Visual Basic, and/or JavaScript, for example. Further, it is notnecessary that a single type of instruction or single programminglanguage be utilized in conjunction with the operation of the system andmethod of the invention. Rather, any number of different programminglanguages may be utilized as is necessary and/or desirable.

Also, the instructions and/or data used in the practice of the inventionmay utilize any compression or encryption technique or algorithm, as maybe desired. An encryption module might be used to encrypt data. Further,files or other data may be decrypted using a suitable decryption module,for example.

As described above, the invention may illustratively be embodied in theform of a processing machine, including a computer or computer system,for example, that includes at least one memory. It is to be appreciatedthat the set of instructions, i.e., the software for example, thatenables the computer operating system to perform the operationsdescribed above may be contained on any of a wide variety of media ormedium, as desired. Further, the data that is processed by the set ofinstructions might also be contained on any of a wide variety of mediaor medium. That is, the particular medium, i.e., the memory in theprocessing machine, utilized to hold the set of instructions and/or thedata used in the invention may take on any of a variety of physicalforms or transmissions, for example. Illustratively, the medium may bein the form of paper, paper transparencies, a compact disk, a DVD, anintegrated circuit, a hard disk, a floppy disk, an optical disk, amagnetic tape, a RAM, a ROM, a PROM, an EPROM, a wire, a cable, a fiber,a communications channel, a satellite transmission, a memory card, a SIMcard, or other remote transmission, as well as any other medium orsource of data that may be read by the processors of the invention.

Further, the memory or memories used in the processing machine thatimplements the invention may be in any of a wide variety of forms toallow the memory to hold instructions, data, or other information, as isdesired. Thus, the memory might be in the form of a database to holddata. The database might use any desired arrangement of files such as aflat file arrangement or a relational database arrangement, for example.

In the system and method of the invention, a variety of “userinterfaces” may be utilized to allow a user to interface with theprocessing machine or machines that are used to implement the invention.As used herein, a user interface includes any hardware, software, orcombination of hardware and software used by the processing machine thatallows a user to interact with the processing machine. A user interfacemay be in the form of a dialogue screen for example. A user interfacemay also include any of a mouse, touch screen, keyboard, keypad, voicereader, voice recognizer, dialogue screen, menu box, list, checkbox,toggle switch, a pushbutton or any other device that allows a user toreceive information regarding the operation of the processing machine asit processes a set of instructions and/or provides the processingmachine with information. Accordingly, the user interface is any devicethat provides communication between a user and a processing machine. Theinformation provided by the user to the processing machine through theuser interface may be in the form of a command, a selection of data, orsome other input, for example.

As discussed above, a user interface is utilized by the processingmachine that performs a set of instructions such that the processingmachine processes data for a user. The user interface is typically usedby the processing machine for interacting with a user either to conveyinformation or receive information from the user. However, it should beappreciated that in accordance with some embodiments of the system andmethod of the invention, it is not necessary that a human user actuallyinteract with a user interface used by the processing machine of theinvention. Rather, it is also contemplated that the user interface ofthe invention might interact, i.e., convey and receive information, withanother processing machine, rather than a human user. Accordingly, theother processing machine might be characterized as a user. Further, itis contemplated that a user interface utilized in the system and methodof the invention may interact partially with another processing machineor processing machines, while also interacting partially with a humanuser.

It will be readily understood by those persons skilled in the art thatthe present invention is susceptible to broad utility and application.Many embodiments and adaptations of the present invention other thanthose herein described, as well as many variations, modifications andequivalent arrangements, will be apparent from or reasonably suggestedby the present invention and foregoing description thereof, withoutdeparting from the substance or scope of the invention.

Accordingly, while the present invention has been described here indetail in relation to its exemplary embodiments, it is to be understoodthat this disclosure is only illustrative and exemplary of the presentinvention and is made to provide an enabling disclosure of theinvention. Accordingly, the foregoing disclosure is not intended to beconstrued or to limit the present invention or otherwise to exclude anyother such embodiments, adaptations, variations, modifications orequivalent arrangements.

1-16. (canceled)
 17. A method for processing a payment using a linkedstored value instrument card, comprising: in an information processingapparatus including at least a memory, a communication interface, and atleast one computer processor: while a transaction is pending between amerchant and a customer, receiving, from the merchant, a payment requestfor the transaction, the payment request comprising an identification ofa transaction amount and a transaction account identifier that wasreceived from the customer; retrieving, from a database, a stored valueinstrument for the merchant that is linked to the transaction account;requesting an available balance for the stored value instrument from astored value instrument processor for the merchant; communicating theavailable balance to a mobile electronic device associated with thecustomer; receiving, from the mobile electronic device, approval fromthe customer to apply at least some of the available balance to a firstportion of the transaction amount; causing the stored value instrumentto be debited for the first portion of the transaction amount; andcausing the transaction account to be charged for a difference betweenthe transaction amount and the first portion of the transaction amount.18. (canceled) .
 19. The method of claim 17, wherein the merchantreceives the transaction account identifier at a point of sale device.20. The method of claim 17, wherein the merchant receives thetransaction account identifier through a website.
 21. The method ofclaim 17, wherein the stored value instrument is a gift card.
 22. Themethod of claim 17, wherein the stored value instrument is associatedwith a merchant.
 23. The method of claim 17, wherein the transactionaccount is a credit card account.
 24. The method of claim 17, whereinthe transaction account is a checking account.
 25. The method of claim17, wherein the first portion of the transaction amount is less than theavailable balance.